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Why should we make the switch to bookkeeping software? 

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What is bookkeeping? 

Put simply, bookkeeping is recording all of your income and expenses. This information is necessary for your income tax return and can be used within your business’ reporting, like checking your business’ profitability. 

It’s not broken, why fix it? 

If you’re still record-keeping with paper files, you might not see the benefit of using online software instead of your accounting book. While your business was growing, it may have been easier to record your business’ profits and spending in a book with red and blue pens, but as you grow, this will become less time efficient. It’s similar to using a washboard to clean our clothes. Why don’t we do this anymore? Because we found a way to use technology to effectively complete the task quicker, freeing up our time to work on other important things (or put our feet up!) If we had to, we COULD do it for a few pieces of clothing, but as our washing basket (or business…) grows, it becomes less efficient to do things ‘the old way.’   

What does software do? 

Online software platforms, such as Xero, can support your business, especially once you are required to register for GST.  This is because the software will segregate the GST portion and allow for reports to be ran for BAS preparation and lodgement. It also allows you to easily reconcile your bank account transactions and ensure that all business income and expenses are accounted for. 

Additionally, there are many reports available that can be used in reviewing your business, identifying patterns and planning for future business development. This includes the Profit & Loss and Balance Sheet reports, plus you can easily set things up to have a breakdown of product profitability. 

How can AK Professional help?

AK Professional is a Xero partner and can support your business to get set up online. From here, we offer our clients a fixed monthly bookkeeping package which includes transaction allocation, reconciliation of accounts and BAS. If this sounds like something your growing business could benefit from, get in touch with us today.